Avid Technology, Inc. (AVID) in Burlington, Mass., develops, markets, sells and supports software and integrated solutions for video and audio content creation, management, and distribution worldwide. AVID shares have gained 39.2% in price over the past year and 9.2% over the past six months to close yesterday’s trading session at $29. However, the stock has slumped 11% year-to-date amid market volatility and a concomitant rout of the tech sector.
The company reported robust earnings and revenue growth in its most recent quarter. Solid growth in its subscription business and the growing storage and audio integrated solutions revenue and stable maintenance revenue helped the company improve profitability and free cash flow. It also surpassed its 2021 guidance for both subscription and maintenance revenue and total revenue and posted non-GAAP EPS towards the high end of guidance.
